Indonesia’s Industry Minister Agus Gumiwang Kartasasmita said on Thursday that the World Bank has pledged full support for the development of the Green Industry Service Company (Gisco), a government-led initiative to accelerate the country’s industrial decarbonisation.
Kartasasmita said that the support includes not only advisory input but also commitments to provide soft loans for infrastructure and grants for Gisco’s business processes.
“We have already consulted with the World Bank, and they fully support the development of Gisco,” he told the 2025 Kumparan Green Initiative Conference in Jakarta.
Planned as part of the World Bank’s program in Indonesia, Gisco will serve as an integrated platform offering technical assistance, resource efficiency assessments, carbon footprint calculations, green transition planning, and access to green financing. It is expected to bridge industry players, technology providers, and financing institutions.
The initiative has also been cleared by the National Development Planning Ministry (Bappenas).
“We target Gisco to become the driving force of a national green industry ecosystem aligned with international standards,” Kartasasmita said, adding that the government aims to launch it in the second half of 2026 once administrative processes are complete.
He noted that emissions from Indonesia’s manufacturing sector doubled between 2011 and 2023. About 73 percent of emissions come from rising industrial energy consumption, including fossil fuel use. Without proper measures, emissions are projected to double again by 2050.
“This has long been a wake-up call for us. The establishment of Gisco is part of our effort to answer that wake-up call,” he said.
The ministry has identified nine priority sectors for decarbonisation: cement, fertilizer and ammonia, metals, pulp and paper, textiles, chemicals, ceramics, food and beverages, and automotive.
“Transforming industry into a green industry is not only essential for the sustainability of the sector, but also for the economy as a whole and for the future of the nation,” he said.
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Translator: Rizka Khaerunnisa, Martha Herlinawati Simanjuntak
Editor: Azis Kurmala
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